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  1. 11th Annual PQSynergy International Conference – Septmber 2011 - Chiang Mai, Thailand Smart Grid Projects and Renewable EnergyPilot Projects and Lessons Learned Sandra McCardell, MBA, LEED AP BD&C President

  2. Presentation Outline • Smart Grid Elements • Push towards Renewables in Smart Grids • Pilot Projects – General Comments • Renewable Energy in Smart Grids • 4 Pilot Projects • Summary • Lessons learned

  3. The Smart Grid Source: The Grid of The Future, T-Systems Customer Magazine BEST PRACTICE, 0212010

  4. Source: Elster; Accelerating Smart Grid Benefits with Hosted Solutions for Utilities, AkliaGanapathy, webinar 7/2011

  5. Why Smart Grid? Source: Kazuyuki Kakada, “Smart Grid Related Activities in NEDO, Smart Grid Advisory Meeting, 10/2009

  6. Characteristics of Renewable Energy in Smart Grids • Generation Types: • Traditional Generation • Wind • Solar (various technologies) • Hydro • Biomass • Geothermal • Electric vehicle • Transmission and Distribution 2-way power flow • Active and Fluctuating Operations • 2-way (or more) communications • High Variability and localized solutions

  7. For Utilities – Opportunities with Renewables in Smart Grid • Regional planning & coordination • Build off existing infrastructure • Increased reliability and security • Help “Self healing” • With “real time” decision making, provide local alternative generation • Integrate different generators & generator types

  8. For Utilities - Challengeswith Renewables in Smart Grid • Lack of customer understanding • Utilities need to change thinking to react more quickly • Variability & differential generation patterns • Lack of standards and interoperability • Financial models for cost recovery must change • Security of grid • No “one size fits all” solutions

  9. Countries without targets Countries with targets Countries with renewable energy targets From 45 in 2005 to 85 in 2010 Source: The Race for New Energy, Wilson Rickerson, Global New Energy Summit 2011

  10. Pilot Projects are Testing…

  11. International Projects Source: http://www.sgiclearinghouse.org/

  12. International Pilots • Elektromed • Elektromed • Turkey • Grinpal Energy Management • Grinpal Energy Management • India • Intelligent Energy System (IES) Pilot Project • Energy Market Authority (EMA) • Singapore • Jeju Smart Grid Test-bed • Korea Smart Grid Institute (KSGI) • South Korea • KESC - Karachi Electricity Supply Company AMI • KESC - Karachi Electricity Supply Company • Pakistan • LESCO - Pakistan Electricity Company • Pakistan Electricity Company • Pakistan • Smart Grid Demonstration Project in Shanghai World Expo • Shanghai Municipal Electric Power Company • China • Smart Grid Demonstration Project in Sino-Singapore Tianjin Eco-city • Tianjin Electric Power Company • China

  13. US Projects Source: http://www.sgiclearinghouse.org/

  14. Pilot Projects Presented • Powerstream in Ontario, Canada • CenterPoint in Texas, USA • Friedrichshafen (“T-City”), Germany • KuzumakiPrefacture, Japan

  15. PowerStream – Ontario, Canada • Renewables Picture: • Currently primarily hydro • Potential small RE projects • Several integrated “pilot projects: • Communications interface with GIS • “Self Healing” Grid • Digital Fault Indicators • Smart Meters for Distribution Transformers • Vehicle Battery “smart charging” • Home Area Networks “Go Green with Powerstream” Source: “A Brave New World”, Edward Chatten, SVP Smart Grid & Strategic Support, Smart Grid Technology Conference, San Jose CA June 2011

  16. Guiding Principles • Customer Empowerment • Improve Reliability • Focus on Value – Shareholders, Customers • Increase Safety • Integrate with energy conservation & DSM programs • Explore regional opportunities • Leverage – equipment, information, programs, enterprise systems • Recover all costs • Support local green energy & economic development goals • Maximize security of grid and customer information Source: “A Brave New World”, Edward Chatten, SVP Smart Grid & Strategic Support, Smart Grid Technology Conference, San Jose CA June 2011

  17. Lessons Learned • Price of failure to adapt very high • Everything changing very quickly • Difficulty of technology integration (including Renewables) • Technology obsolescence is a problem (including Renewables) • Customers very different, with varied expectations • SmartGriddesign and function will vary by utility and region • Cost / Benefit ratio should be positive • Sitingchallenges • Barriers to scale Source: “A Brave New World”, Edward Chatten, SVP Smart Grid & Strategic Support, Smart Grid Technology Conference, San Jose CA June 2011

  18. CenterPoint Energy, Houston,Texas USA (& 5 other states) • Renewables Picture: • Currently Coal & Natural Gas • Transmission Constraints • Important wind resources • Good solar resources • Pilot Elements: • Advanced Metering Systems • Intelligent Grid • Vision: “CNP seeks to enable the Texas electricity market to extract the full functionality of the Smart Grid by supporting individual management of electricity consumption, fostering adoption of market-driven programs and achieving maximum operational readiness and efficiency.” Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  19. Intelligent Grid Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  20. Intelligent Grid - 2 Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  21. Managing Outages Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  22. Grid Sensing Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  23. Systems Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  24. Communication Source: Robert Frazier, SmartGrid conference, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  25. Friedrichshafen, Germany • T-Systems: • Provides IT and communication services, dynamic services, energy services, cloud-based services – largest German telecom company • Energy efforts started with small metering solution for German market, focus on privacy and security • Renewables Picture: • Germany well-known for focus on variety of distributed renewable energy generation • PV, electric cars, wind, solar thermal, biomass all in place

  26. Friedrichshafen Summary • Cooperative effort • “Laboratory” with focus on implementation • Smart metering, smart grid, and general smart technology services • Multi-utility, sub-metering, multiple standards in smart metering platform • Small smart grid applications • Demand response, power plant requirements, economics research, market value research

  27. Friedrichshafen Findings • Communication is key with different types of buildings & users, and generators • Architecture which brings together different meters is most useful • Transformative technologies and methods • Data privacy and data security critical • Many common solutions would not meet security requirements of telecom industry • In Germany, change from yearly billing required • Rapid, complete roll-out most cost effective

  28. Community scale smart grid in Japan • Grid severely supply limited • Acceleration of Smart Grid adoption may be good alternative for future • Potential Smart Grid elements: • Accelerate adoption of technologies and grid • Smart meter options needed • Mechanism needed for market signals – price and command signals

  29. Impacts from the Disaster • After the earthquake and tsunami, surviving fossil fuel power plants not able to handle load left by Fukushima closure • Substation breakers were only tools available to keep grid in balance, so had system of rolling blackouts • Current actions: • Recommissioning old plants • Importing gas turbines • Running all at full capacity

  30. Kuzumaki Prefecture • Local Smart Grid – Kuzumaki • 8,000 people, 50 miles from coast • Power out for 1 day (connected to grid) • Started program 10 years ago • Wind farm • Biogas generator • Biodiesel refinery • PV on school roofs • Elder-care facilities heated by pellet mill Source: http://www.industcards.com/biomass-elsewhere.htm

  31. Lessons from Kuzumaki • Intermittent renewables work in system • Price and control signals • Wind power at night increases • Cloud over sun during day • Small regions of grid disconnect temporarily and keep operating Source: http://www.solartoday-digital.org/solartoday/201106/#pg12 Source: http://aoatools.aua.gr/pilotec/files/bibliography/RES_japan-2204205825/RES_japan.pdf

  32. Smart Grid Changes Source: Robert Frazier, SmartGrid conference, San Jose CA, 6/2011 – “SmartGrid Projects – Current Projects to Future Functionality”

  33. References / Resources - 1 • SmartGridSherpa.com, a free knowledge base and blog @smartgridsherpa. • theTotal Grid Community — an open source community dedicated to modernizing national power systems and microgrids while driving the development of the Smart Grid. www.TotalGrid.org • The GridWise Alliance, founded in 2003, has developed into an organization that represents a broad range of the energy supply chain from utilities to large tech companies to academia to venture capitalists to emerging tech companies. www.gridwise.org • Smart Grid Research Consortium, www.smartgridresearchconsortium.org. Formed at Texas A&M University in 2010 and established as an independent research organization in January, 2011. Membership open to electric cooperatives, municipal and other public utilities interested in independent, objective financial evaluation of smart grid applications

  34. References / Resources - 2 • www.globalsmartgridfederation.org The Global Smart Grid Federation was established in April 2010 to bring together Smart Grid initiatives from around the world. • The International Smart Grid Action Network (ISGAN) creates a mechanism for multilateral collaboration to advance the development and deployment of smarter electric grids around the world www.cleanergyministerial.org/ISGAN • www.smartgrid.gov SmartGrid.gov is the gateway to information on federal initiatives that support the development of the technologies, policies and projects transforming the electric power industry. • www.sgiclearinghouse.org . Smart grid information clearinghouse

  35. Thank you!! Sandy McCardell – sandym@currentc.com – (505) 795-2702